Financial Analysis: BetterLife Pharma (OTCMKTS:BETRF) and Cosmos Health (NASDAQ:COSM)

BetterLife Pharma (OTCMKTS:BETRF) and Cosmos Health (NASDAQ:COSM) are both small-cap medical companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, earnings, institutional ownership, valuation, risk, analyst recommendations and dividends.

Insider & Institutional Ownership

0.0% of BetterLife Pharma shares are owned by institutional investors. Comparatively, 12.6% of Cosmos Health shares are owned by institutional investors. 34.8% of BetterLife Pharma shares are owned by insiders. Comparatively, 25.1% of Cosmos Health shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations and price targets for BetterLife Pharma and Cosmos Health, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BetterLife Pharma	0	0	0	0	0.00
Cosmos Health	1	0	0	0	1.00

Profitability

This table compares BetterLife Pharma and Cosmos Health’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BetterLife Pharma	N/A	N/A	-351.45%
Cosmos Health	-27.90%	-18.32%	-8.60%

Risk & Volatility

BetterLife Pharma has a beta of 1.16, suggesting that its share price is 16% more volatile than the S&P 500. Comparatively, Cosmos Health has a beta of 5.36, suggesting that its share price is 436% more volatile than the S&P 500.

Valuation and Earnings

This table compares BetterLife Pharma and Cosmos Health”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BetterLife Pharma	N/A	N/A	-$2.55 million	N/A	N/A
Cosmos Health	$55.09 million	0.58	-$16.18 million	($1.03)	-1.00

BetterLife Pharma has higher earnings, but lower revenue than Cosmos Health.

Summary

Cosmos Health beats BetterLife Pharma on 5 of the 9 factors compared between the two stocks.

About BetterLife Pharma

BetterLife Pharma Inc., a biotechnology company, engages in the development and commercialization of compounds for the treatment of mental disorders in Canada. It is also involved in refining and developing drug candidates from a set of complementary interferon-based technologies that have the potential to engage the immune system to fight virus infections. The company's products pipeline includes BETR-001 for the treatment of major depressive disorder, anxiety, and neuropathic pain and other neuro-psychiatric and neurological disorders; and BETR-002 to treat benzodiazepine dependency, anxiety, and neurodegenerative disorders. It is also developing MM-003, which has completed Phase II clinical trials for treatment of COVID-19 and other respiratory viral infections; and MM-001, a topical cream for local intravaginal use to treat HPV-induced cervical intraepithelial neoplasia that has completed Phase II clinical trials. The company was formerly known as Pivot Pharmaceuticals Inc. and changed its name to BetterLife Pharma Inc. in December 2019. BetterLife Pharma Inc. was incorporated in 2002 and is headquartered in Vancouver, Canada.

About Cosmos Health

Cosmos Health Inc. manufactures, develops, and trades branded nutraceutical products in Greece, the United Kingdom, Croatia, Bulgaria, Cayman Islands, and Cyprus. It offers medicines, OTC medicines, nutraceutical products, vitamins, minerals and dietary, health care products, medical devices, baby products, and others under the Sky Premium Life and Mediterranation brand names. The company serves wholesale distributors and other healthcare providers, such as clinics, government agencies, independent retail and specialty pharmacies and independent specialty distributors. It sells its products through independent wholesale distributors. Cosmos Health Inc. was incorporated in 2009 and is headquartered in Chicago, Illinois.